Epsilon Advanced Materials Inc has signed a long-term supply agreement with Phillips 66 for the procurement of green and calcined needle coke from the latter’s Lake Charles refinery in Louisiana. The deal marks a key development in building a domestic supply base for materials critical to battery production in the United States.
The agreement ensures Epsilon consistent access to high-grade needle coke, a vital raw material for the production of synthetic graphite anodes used in lithium-ion batteries. Phillips 66 is a globally recognized supplier of these specialty coke products, which are essential for electric vehicles (EVs) and energy storage systems.
The material supplied will feed into Epsilon’s new graphite anode manufacturing facility under development in Brunswick County, North Carolina. The plant is designed for an initial capacity of 30,000 tons per year, with operations expected to begin in 2027. Plans are in place to scale production up to 60,000 tons annually by 2030.
Vikram Handa, Managing Director of Epsilon Advanced Materials, commented “This agreement supports our long-term goal of establishing a reliable and sustainable supply chain for battery-grade materials in the United States. Phillips 66 brings deep expertise in energy and materials, while Epsilon contributes advanced manufacturing capabilities and a growing international footprint.”
Once fully operational, the North Carolina facility will have the capacity to supply enough graphite active anode material to support the production of approximately one million electric vehicles per year. This output will directly serve U.S.-based battery manufacturers and automotive OEMs, supporting the country’s transition to cleaner transportation and energy systems.
This partnership reflects a growing emphasis on reshoring critical materials processing and reducing reliance on imports for key components in clean energy technologies. By combining Phillips 66’s production capabilities with Epsilon’s planned U.S. operations, the two companies aim to enhance supply chain security and support domestic energy goals.
Founded in 2018, Epsilon Advanced Materials operates as part of the Epsilon Group, a diversified industrial group established in 2010. Epsilon is the first Indian company to operate a graphite anode material facility, and it continues to expand internationally with projects in North Carolina and Finland. The company specializes in manufacturing sustainable battery materials for energy storage and electric mobility applications.
Phillips 66 is a diversified energy manufacturing and logistics company with operations across refining, midstream, chemicals, and marketing. The company is a major global producer of needle coke and other specialty carbon products used in advanced energy storage and industrial applications.
